PRODUCTION OF POTENT POT FLOURISHING AND LUCRATIVE, RCMP REPORT SAYS

OTTAWA -- The production of increasingly potent marijuana continues to
flourish in Canada despite a decline in grow-operation seizures in
British Columbia over the past four years, the RCMP says.

The national police force's annual report on the illicit drug trade
concludes that pot cultivation remains "an evolving and very
lucrative" industry.

The Mounties say the involvement of organized crime has significantly
expanded the Canadian drug trade, with outlaw motorcycle gangs and
Asian groups the reigning kingpins of the marijuana industry.

The report notes crime groups that once specialized in a single drug
have branched out into various substances, including popular club drug
ecstasy.

"These organizations are powerful, well connected and are dealing in
high profit-yielding illicit ventures across the globe."

Based on seizure data for 2006, Canadian police prevented an estimated
$2.3-billion in drugs from reaching the streets. The report suggests,
however, that may represent between just 5 and 20 per cent of the
total amount of illegal drugs in Canada.

About 90 per cent of Canadian-grown marijuana is produced in British
Columbia, Ontario and Quebec.

However, in B.C. there has been "a noticeable decline" in the number
of grow-op seizures, while the figures in Quebec and Ontario remained
stable.

The Mounties attribute the drop to increased enforcement, co-operation
between groups fighting the drug trade and the movement of operators
to the United States.

The RCMP says smuggling of pot to the U.S. "continues to be a concern
for both countries," with marijuana moving by boat, transport truck,
car and, increasingly in B.C., clandestine helicopter drops.

The average level of THC - the active ingredient in pot - in Canadian
marijuana increased to 10.25 per cent in 2006 from 9.96 per cent the
previous year.

Money from the sale of Canadian marijuana in the U.S. financed other
illegal activities, including the purchase of cocaine and guns that
were later smuggled into Canada, the report adds.

Both rural and urban properties were purchased by criminal groups last
year for the sole purpose of cultivating marijuana.

The RCMP says budder, a highly potent cannabis derivative, appears to
becoming more popular.

Users place the drug on a heated knife or coin and inhale the
resulting smoke.

The report also says:

Canada has become a net exporter of ecstasy;

Moldova emerged as a source of anabolic steroids smuggled into
Canada;

West African countries are convenient transit and storage points for
cocaine headed to Europe from South America.